News & Analysis as of

Economic Realities Test Wage and Hour Corporate Counsel

Brooks Pierce

Fourth Circuit Affirms Multi-Million Dollar Decision, Underscoring Risks in Worker Misclassification

Brooks Pierce on

Many businesses rely on independent contractors to stay flexible, control costs, and meet fluctuating demand, but misclassifying those workers can carry massive financial consequences. On July 17, 2025, the Fourth Circuit...more

Troutman Pepper Locke

Court Challenges Filed to Final Independent Contractor Rule – But Does It Really Matter?‎

Troutman Pepper Locke on

As discussed in our QuickStudy of January 9, the U.S. Department of Labor has issued its long-awaited final rule setting forth its version of the test for independent contractor status under the federal Fair Labor Standards...more

Troutman Pepper Locke

Legally Nil, But Will Look a Lot Like a “Score”: Labor Department Issues Its Final Rule ‎on Independent Contractor Status‎

Troutman Pepper Locke on

It has been well over a year since the U.S. Department of Labor issued its proposed rule entitled “Employee or Independent Contractor Classification under the Fair Labor Standards Act.” The regulation was expressly intended...more

Littler

Department of Labor Proposes New Rule for Independent Contractor Status

Littler on

On October 11, 2022, the U.S. Department of Labor released a proposed rule to update the test for determining whether a worker is an employee under the Fair Labor Standards Act (FLSA) or an independent contractor.  FLSA...more

Jackson Lewis P.C.

Are Non-Emergency Transport Providers Employees or Independent Contractors? Jury Questions Exist, Eighth Circuit Holds

Jackson Lewis P.C. on

Reversing summary judgment in favor of the U.S. Department of Labor (DOL), the Eighth Circuit has held that jury questions exist as to whether the defendant employed drivers who provide non-emergency medical transport...more

Littler

Department of Labor Proposes to Roll Back Joint Employment, Independent Contractor Rules

Littler on

On March 11, 2021, the U.S. Department of Labor (“DOL” or “the Department”) announced proposals to roll back two Trump administration regulations under the Fair Labor Standards Act (“FLSA” or “the Act”)....more

Benesch

Department of Labor Withdraws Gig Economy Opinion Letter that Supported Independent Contractor Classification

Benesch on

On February 19, 2021, the Department of Labor’s Wage and Hour Division withdrew its opinion letter that indicated gig economy workers who offer services in a virtual marketplace are independent contractors. The Wage and Hour...more

Smith Anderson

DOL Announces Final Rule on Classification as Independent Contractor or Employee

Smith Anderson on

On January 7, 2021, the federal Department of Labor (DOL) published its final rule for determining whether a worker is an independent contractor or an employee for purposes of the Fair Labor Standards Act (FLSA). According to...more

Burr & Forman

Department of Labor Announces Final Rule on Independent Contractor Status Under the Fair Labor Standards Act

Burr & Forman on

On January 6, 2021, the U.S. Department of Labor (“DOL”) announced its Final Rule to provide guidance on determining whether a worker is an employee or an independent contractor under the Fair Labor Standards Act (“FLSA”). ...more

Fisher Phillips

5 Most Significant Gig Economy Developments In September

Fisher Phillips on

Gig economy companies across the country had a whirlwind September, as legal developments impacting their business models continued to unfold. Here are the five most significant workplace law developments in the gig economy...more

Seyfarth Shaw LLP

DOL Proposes Its First-Ever Interpretation on Independent Contractor vs. Employee

Seyfarth Shaw LLP on

For decades, companies have wrestled with whether certain workers must be treated as employees subject to various employment laws and company rules or whether they are appropriately classified as independent contractors with...more

McAfee & Taft

DOL, NLRB weigh in on classification status of gig economy workers

McAfee & Taft on

While temporary positions, such as freelancing and seasonal jobs, have been around forever, the “gig economy” – the sector of the service industry that provides flexible, non-traditional working opportunities – has grown...more

Proskauer - Law and the Workplace

DOL Validates Independent Contractor Relationships in the On-Demand Marketplace

In an opinion letter issued April 29, 2019, the U.S. Department of Labor’s Wage and Hour Division concluded that a “virtual marketplace company” (“VMC”) that connects service providers with consumers is not the employer of...more

Fisher Phillips

Federal Court Provides Roadmap For Misclassification Success – Sort Of

Fisher Phillips on

Ruling In Favor Of Independent Contractor Status Provides Boost To Gig Economy - A federal appeals court in New York handed a massive victory to a car service enterprise yesterday, ruling that a group of workers...more

Littler

Fourth Circuit Decision Establishes New Six-Factor Test for Determining Joint Employment under the FLSA

Littler on

On January 25, 2017, the U.S. Court of Appeals for the Fourth Circuit established a new six-factor test to determine whether two or more entities are joint employers for purposes of the Fair Labor Standards Act (“FLSA”). ...more

Sands Anderson PC

Are exotic dancers employees or independent contractors? Fourth Circuit says they are employees

Sands Anderson PC on

In May 2016, the Fourth Circuit applied a six-part, economic realities test to determine that two Maryland dance clubs had misclassified their exotic dancers as independent contractors. This case is important for several...more

Jaburg Wilk

The Department of Labor Takes a Stance in Employee Misclassification Cases

Jaburg Wilk on

In a recent article, I warned all employers that government agencies are out to bust them for misclassifying their employees as independent contractors. The prior article discussed the efforts made by the United States...more

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